Hedge Funds Are Selling Greenhill & Co., Inc. (GHL)

Because Greenhill & Co., Inc. (NYSE:GHL) has faced a declination in interest from the aggregate hedge fund industry, it’s easy to see that there lies a certain “tier” of fund managers who sold off their full holdings heading into Q4. Intriguingly, Matthew Lindenbaum’s Basswood Capital dropped the largest position of all the hedgies watched by Insider Monkey, worth close to $9.7 million in stock. Millennium Management Subsidiary’s fund, Blue Arrow Capital Management, also dropped its stock, about $1.5 million worth. These moves are important to note, as total hedge fund interest dropped by 1 funds heading into Q4.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as Greenhill & Co., Inc. (NYSE:GHL) but similarly valued. These stocks are Hibbett Sports, Inc. (NASDAQ:HIBB), Endologix, Inc. (NASDAQ:ELGX), Teekay Tankers Ltd. (NYSE:TNK), and Rentrak Corporation (NASDAQ:RENT). This group of stocks’ market caps match GHL’s market cap.

As you can see these stocks had an average of 16.75 hedge funds with bullish positions and the average amount invested in these stocks was $139 million. That figure was $58 million in GHL’s case. Endologix, Inc. (NASDAQ:ELGX) is the most popular stock in this table. On the other hand Hibbett Sports, Inc. (NASDAQ:HIBB) is the least popular one with only 11 bullish hedge fund positions. Greenhill & Co., Inc. (NYSE:GHL) is not the least popular stock in this group but hedge fund interest is still below average. This is a slightly negative signal and we’d rather spend our time researching stocks that hedge funds are piling on. In this regard ELGX might be a better candidate to consider a long position.